Brokers pledge US$7.65 bn to support private firms
At least 42 brokerage firms in China have stepped forward to launch asset management plans to help private enterprises ease their financing difficulties
So far, 42 securities brokers have pledged to invest 52.75 billion yuan (US$7.65 billion) to launch asset management plans to help private enterprises ease their financing difficulties, The Paper reported.
As of Dec 14, 28 brokers have set up 31 asset management plans and three sub-plans, with a total investment of 41.71 billion yuan.
Among them, five asset management plans have invested in specific projects worth a total 1.95 billion yuan.
For example, the controlling shareholders of Misho Ecology & Landscape have obtained about 70 million yuan in financing from the asset management plan managed by GF Securities in the form of debt investment.
Tianfeng Securities invested 200 million to set up partnerships with local financial institutions such as Taizhou Finance Investment Co. Ltd. and offering financing funds in exchange for minority stakes in target companies.